NM
New Mexico House Bill HB276

New Mexico 2025 Regular Session

New Mexico House Bill HB276 Compare Versions

Only one version of the bill is available at this time.
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2828 HOUSE BILL 276
2929 57TH LEGISLATURE - STATE OF NEW MEXICO - FIRST SESSION, 2025
3030 INTRODUCED BY
3131 Joy Garratt and Patricia A. Lundstrom and Cathrynn N. Brown
3232 and Michael Padilla and Art De La Cruz
3333 FOR THE NEW MEXICO FINANCE AUTHORITY OVERSIGHT COMMITTEE
3434 AN ACT
3535 RELATING TO PUBLIC-PRIVATE PARTNERSHIPS; CREATING THE PUBLIC-
3636 PRIVATE PARTNERSHIP FUND AND THE PUBLIC-PRIVATE PARTNERSHIP
3737 PROGRAM; REQUIRING THE LOCAL GOVERNMENT DIVISION OF THE
3838 DEPARTMENT OF FINANCE AND ADMINISTRATION, IN CONSULTATION WITH
3939 THE NEW MEXICO FINANCE AUTHORITY, TO PROVIDE GRANTS TO PUBLIC
4040 PARTNERS TO COMPLETE BROADBAND PROJECTS AND TRANSPORTATION
4141 PROJECTS; REQUIRING RULEMAKING; PROVIDING THAT APPROPRIATIONS
4242 FROM THE PUBLIC PROJECT REVOLVING FUND MAY BE MADE TO THE
4343 PUBLIC-PRIVATE PARTNERSHIP FUND; EXEMPTING PUBLIC-PRIVATE
4444 PARTNERSHIP AGREEMENTS FROM THE PROCUREMENT CODE; MAKING AN
4545 APPROPRIATION.
4646 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO:
4747 SECTION 1. [NEW MATERIAL] PUBLIC-PRIVATE PARTNERSHIP
4848 FUND--CREATED--PURPOSE--PUBLIC-PRIVATE PARTNERSHIP PROGRAM--
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7676 DISTRIBUTIONS.--
7777 A. As used in this section:
7878 (1) "authority" means the New Mexico finance
7979 authority;
8080 (2) "broadband project" means a project to
8181 develop, repair, replace or maintain the state facilities or
8282 infrastructure used to provide internet, including the
8383 electronics, equipment, transmission facilities, fiber-optic
8484 cables and any other item directly related to a system capable
8585 of transmission of internet protocol or other formatted data at
8686 current federal communications commission minimum speed
8787 standard, all of which will be owned and used by a provider of
8888 internet access services;
8989 (3) "division" means the local government
9090 division of the department of finance and administration;
9191 (4) "private partner" means an individual, a
9292 foreign or domestic corporation, a general partnership, a
9393 limited liability company, a limited partnership, a joint
9494 venture, a business trust, a public benefit corporation, a
9595 nonprofit entity or other private business entity or any
9696 combination thereof;
9797 (5) "public partner" means the state or any of
9898 its branches, agencies, departments, boards, instrumentalities
9999 or institutions and all political subdivisions of the state;
100100 (6) "public-private partnership" means an
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129129 arrangement between one or more public partners and one or more
130130 private partners for the development of a broadband project or
131131 a transportation project; and
132132 (7) "transportation project" means studies,
133133 planning, design, construction and maintenance of
134134 transportation infrastructure located in this state.
135135 B. The "public-private partnership fund" is created
136136 as a nonreverting fund in the state treasury. The public-
137137 private partnership fund consists of distributions from the
138138 public project revolving fund, appropriations, income from
139139 investment of the public-private partnership fund, gifts,
140140 grants and donations. The division shall administer the
141141 public-private partnership fund, and money in the public-
142142 private partnership fund is appropriated to the division to
143143 administer the public-private partnership program.
144144 Disbursements from the public-private partnership fund shall be
145145 made by warrant of the secretary of finance and administration
146146 pursuant to vouchers signed by the director of the division or
147147 the director's designee.
148148 C. The "public-private partnership program" is
149149 created and shall be administered by the division. The
150150 division shall, in consultation with the authority, evaluate
151151 and provide grants to fund proposed transportation projects and
152152 broadband projects.
153153 D. A public partner shall apply to receive a grant
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182182 on forms and in a manner prescribed by the division, which
183183 shall include the public-private partnership agreement executed
184184 by the public partner and private partner. When determining an
185185 award pursuant to this section, the division shall:
186186 (1) undertake a cost-benefit analysis of the
187187 proposed public-private partnership in comparison to a
188188 traditional project that is managed by a public partner;
189189 (2) determine whether the application of
190190 procurement rules normally applicable to the public partner
191191 would delay or increase the cost of the proposed public
192192 project;
193193 (3) consider other financing available to
194194 complete the project, including matching financing provided by
195195 the private partner; and
196196 (4) consider the likelihood of the broadband
197197 project's or transportation project's completion.
198198 E. In addition to the requirements provided
199199 pursuant to Subsection D of this section, the division shall
200200 base its decision to award a grant for the completion of a:
201201 (1) broadband project on:
202202 (a) whether the proposed project
203203 supports the expansion of broadband as estimated by the amount
204204 of private properties and commercial properties that would
205205 receive internet as a result of the project; or
206206 (b) the need to develop, repair, replace
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235235 or maintain the state facilities or infrastructure used to
236236 provide internet with existing broadband infrastructure based
237237 on the geographic area served by the project; and
238238 (2) transportation project on whether the
239239 project is necessary to study, plan, design, construct or
240240 maintain transportation infrastructure or facilities and is
241241 currently delayed by the public partner due to cost or the
242242 procurement process.
243243 F. The division shall promulgate rules to
244244 administer the public-private partnership program, including
245245 procedures:
246246 (1) for a public partner to apply for grants
247247 from the program;
248248 (2) to evaluate a proposed project; provided
249249 that the division shall:
250250 (a) apply procurement, accounting and
251251 governmental conduct standards in evaluating a public partner's
252252 proposal and public-private partnership agreement;
253253 (b) consider the recommendations of the
254254 authority; and
255255 (c) ensure an expedited review process;
256256 (3) to award grants to a public partner to
257257 complete the public project; and
258258 (4) to safeguard public funds.
259259 G. The authority shall:
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288288 (1) evaluate the financial risks of the
289289 proposed transportation project or broadband project; and
290290 (2) promulgate rules as necessary to recommend
291291 projects to the division.
292292 H. Money in the public-private partnership fund may
293293 be used to cover the administrative costs of the authority in
294294 complying with this section."
295295 SECTION 2. Section 6-21-6.1 NMSA 1978 (being Laws 1994,
296296 Chapter 145, Section 2, as amended) is amended to read:
297297 "6-21-6.1. PUBLIC PROJECT REVOLVING FUND--APPROPRIATIONS
298298 TO OTHER FUNDS.--
299299 A. At the end of each fiscal year, after all debt
300300 service charges, replenishment of reserves and administrative
301301 costs on all outstanding bonds, notes or other obligations
302302 payable from the public project revolving fund are satisfied,
303303 an aggregate amount not to exceed thirty-five percent of the
304304 governmental gross receipts tax proceeds distributed to the
305305 public project revolving fund in the preceding fiscal year less
306306 all debt service charges and administrative costs of the
307307 authority paid in the preceding fiscal year on bonds issued
308308 pursuant to this section may be appropriated by the legislature
309309 from the public project revolving fund to:
310310 (1) the following funds for local
311311 infrastructure financing:
312312 (a) the wastewater facility construction
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341341 loan fund for purposes of the Wastewater Facility Construction
342342 Loan Act;
343343 (b) the rural infrastructure revolving
344344 loan fund for purposes of the Rural Infrastructure Act;
345345 (c) the solid waste facility grant fund
346346 for purposes of the Solid Waste Act;
347347 (d) the drinking water state revolving
348348 loan fund for purposes of the Drinking Water State Revolving
349349 Loan Fund Act;
350350 (e) the water and wastewater project
351351 grant fund for purposes specified in the New Mexico Finance
352352 Authority Act; or
353353 (f) the local government planning fund
354354 for purposes specified in the New Mexico Finance Authority Act;
355355 [or]
356356 (2) the public-private partnership fund for
357357 purposes specified in Section 1 of this 2025 act; or
358358 [(2)] (3) the cultural affairs facilities
359359 infrastructure fund.
360360 B. The authority and the department of finance and
361361 administration in coordination with the New Mexico finance
362362 authority oversight committee may recommend annually to each
363363 regular session of the legislature amounts to be appropriated
364364 to the funds listed in Subsection A of this section."
365365 SECTION 3. Section 13-1-98 NMSA 1978 (being Laws 1984,
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394394 Chapter 65, Section 71, as amended by Laws 2023, Chapter 149,
395395 Section 2 and by Laws 2023, Chapter 174, Section 1) is amended
396396 to read:
397397 "13-1-98. EXEMPTIONS FROM THE PROCUREMENT CODE.--The
398398 provisions of the Procurement Code shall not apply to:
399399 A. procurement of items of tangible personal
400400 property or services by a state agency or a local public body
401401 from a state agency, a local public body or external
402402 procurement unit except as otherwise provided in Sections
403403 13-1-135 through 13-1-137 NMSA 1978;
404404 B. procurement of tangible personal property or
405405 services for the governor's mansion and grounds;
406406 C. printing and duplicating contracts involving
407407 materials that are required to be filed in connection with
408408 proceedings before administrative agencies or state or federal
409409 courts;
410410 D. purchases of publicly provided or publicly
411411 regulated gas, electricity, water, sewer and refuse collection
412412 services;
413413 E. purchases of books, periodicals, instructional
414414 materials and training materials in printed, digital or
415415 electronic format from the publishers, designated public-
416416 education-department-approved instructional material
417417 depositories or copyright holders thereof and purchases of
418418 print, digital or electronic format library materials by
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447447 public, school and state libraries for access by the public;
448448 F. travel or shipping by common carrier or by
449449 private conveyance or to meals and lodging;
450450 G. purchase of livestock at auction rings or to the
451451 procurement of animals to be used for research and
452452 experimentation or exhibit;
453453 H. contracts with businesses for public school
454454 transportation services;
455455 I. procurement of tangible personal property or
456456 services, as defined by Sections 13-1-87 and 13-1-93 NMSA 1978,
457457 by the corrections industries division of the corrections
458458 department pursuant to rules adopted by the corrections
459459 industries commission, which shall be reviewed by the
460460 purchasing division of the general services department prior to
461461 adoption;
462462 J. purchases not exceeding ten thousand dollars
463463 ($10,000) consisting of magazine subscriptions, web-based or
464464 electronic subscriptions, conference registration fees and
465465 other similar purchases where prepayments are required;
466466 K. municipalities having adopted home rule charters
467467 and having enacted their own purchasing ordinances;
468468 L. the issuance, sale and delivery of public
469469 securities pursuant to the applicable authorizing statute, with
470470 the exception of bond attorneys and general financial
471471 consultants;
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500500 M. contracts entered into by a local public body
501501 with a private independent contractor for the operation, or
502502 provision and operation, of a jail pursuant to Sections 33-3-26
503503 and 33-3-27 NMSA 1978;
504504 N. contracts for maintenance of grounds and
505505 facilities at highway rest stops and other employment
506506 opportunities, excluding those intended for the direct care and
507507 support of persons with handicaps, entered into by state
508508 agencies with private, nonprofit, independent contractors who
509509 provide services to persons with handicaps;
510510 O. contracts and expenditures for services or items
511511 of tangible personal property to be paid or compensated by
512512 money or other property transferred to New Mexico law
513513 enforcement agencies by the United States department of justice
514514 drug enforcement administration;
515515 P. contracts for retirement and other benefits
516516 pursuant to Sections 22-11-47 through 22-11-52 NMSA 1978;
517517 Q. contracts with professional entertainers;
518518 R. contracts and expenditures for legal
519519 subscription and research services and litigation expenses in
520520 connection with proceedings before administrative agencies or
521521 state or federal courts, including experts, mediators, court
522522 reporters, process servers and witness fees, but not including
523523 attorney contracts;
524524 S. contracts for service relating to the design,
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553553 engineering, financing, construction and acquisition of public
554554 improvements undertaken in improvement districts pursuant to
555555 Subsection L of Section 3-33-14.1 NMSA 1978 and in county
556556 improvement districts pursuant to Subsection L of Section
557557 4-55A-12.1 NMSA 1978;
558558 T. works of art for museums or for display in
559559 public buildings or places;
560560 U. contracts entered into by a local public body
561561 with a person, firm, organization, corporation or association
562562 or a state educational institution named in Article 12, Section
563563 11 of the constitution of New Mexico for the operation and
564564 maintenance of a hospital pursuant to Chapter 3, Article 44
565565 NMSA 1978, lease or operation of a county hospital pursuant to
566566 the Hospital Funding Act or operation and maintenance of a
567567 hospital pursuant to the Special Hospital District Act;
568568 V. purchases of advertising in all media, including
569569 radio, television, print and electronic;
570570 W. purchases of promotional goods intended for
571571 resale by the tourism department;
572572 X. procurement of printing, publishing and
573573 distribution services for materials produced and intended for
574574 resale by the cultural affairs department;
575575 Y. procurement by or through the public education
576576 department from the federal department of education relating to
577577 parent training and information centers designed to increase
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606606 parent participation, projects and initiatives designed to
607607 improve outcomes for students with disabilities and other
608608 projects and initiatives relating to the administration of
609609 improvement strategy programs pursuant to the federal
610610 Individuals with Disabilities Education Act; provided that the
611611 exemption applies only to procurement of services not to exceed
612612 two hundred thousand dollars ($200,000);
613613 Z. procurement of services from community
614614 rehabilitation programs or qualified individuals pursuant to
615615 the State Use Act;
616616 AA. purchases of products or services for eligible
617617 persons with disabilities pursuant to the federal
618618 Rehabilitation Act of 1973;
619619 BB. procurement, by either the department of health
620620 or Grant county or both, of tangible personal property,
621621 services or construction that are exempt from the Procurement
622622 Code pursuant to Section 9-7-6.5 NMSA 1978;
623623 CC. contracts for investment advisory services,
624624 investment management services or other investment-related
625625 services entered into by the educational retirement board, the
626626 state investment officer or the retirement board created
627627 pursuant to the Public Employees Retirement Act;
628628 DD. the purchase for resale by the state fair
629629 commission of feed and other items necessary for the upkeep of
630630 livestock;
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659659 EE. contracts entered into by the crime victims
660660 reparation commission to distribute federal grants to assist
661661 victims of crime, including grants from the federal Victims of
662662 Crime Act of 1984 and the federal Violence Against Women Act of
663663 1994;
664664 FF. procurement by or through the early childhood
665665 education and care department of early pre-kindergarten and
666666 pre-kindergarten services purchased pursuant to the Pre-
667667 Kindergarten Act;
668668 GG. procurement of services of commissioned
669669 advertising sales representatives for New Mexico magazine;
670670 HH. public-private partnership agreements for the
671671 performance of a broadband project or a transportation project
672672 pursuant to Section 1 of this 2025 act;
673673 [HH.] II. contracts entered into by the forestry
674674 division of the energy, minerals and natural resources
675675 department to distribute federal grants to nongovernmental
676676 entities and individuals selected through an application
677677 process conducted by the United States department of
678678 agriculture, the United States department of the interior or
679679 any division or bureau thereof for programs for wildfire
680680 prevention or protection, urban forestry, forest and watershed
681681 restoration and protection, reforestation or economic
682682 development projects to advance the use of trees and wood
683683 biomass for hazardous fuel reduction; and
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712712 [II.] JJ. procurements exempt from the Procurement
713713 Code as otherwise provided by law."
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